Mike Blake/Reuters
- Trump exempts tariffs on food imports, such as coffee, bananas, and beef, in a bid to lower prices.
- The White House is facing pressure over high grocery costs and ongoing inflation.
- Trump had previously denied that consumers are paying for the tariffs.
President Donald Trump signed an executive order on Friday to exempt a long list of everyday food imports from his higher tariffs.
The move comes as the White House faces growing frustration over high grocery bills, piling onto years of elevated inflation and straining household budgets as SNAP benefits remain in the backlog while the government attempts to recover from a shutdown.
The exemptions cover a broad swath of products, including coffee, cocoa, bananas, select beef products, as well as fresh produce such as tomatoes, avocados, coconuts, oranges, and pineapples. The list also includes some favorite Christmas spices, such as nutmeg, vanilla beans, cinnamon, and cardamom.
The walkback on tariffs sharply contrasts with some of Trump's previous statements that other countries will be paying the tariffs and that the duties are necessary to protect American workers.
In a Truth Social post in August, Trump hit back at Goldman Sachs, the financial services company, for writing in a report that consumers have footed around 22% of the tariff bills through June.
"Also, it has been shown that, for the most part, consumers aren't even paying these tariffs," Trump wrote, "It is mostly companies and governments, many of them foreign, picking up the tabs."
The White House did not immediately respond to a request for comment.
Among the tariff exemptions, beef and coffee remain the most highly anticipated staples.
Over the past year, Trump has imposed tariffs on the country's largest beef supplier, including 75% on Brazil and 15% on New Zealand. That doesn't include tariffs that are driving up the cost of fertilizers, farming equipment, and steel, which domestic ranchers have to contend with.
According to the Bureau of Labor Statistics, the cost of food-at-home increased about 2.7% compared to the same month in 2024, but that figure rises to between 12% to 18% for uncooked beef products.
For coffee, the price hike is even steeper, mostly thanks to Trump's 50% tariff on Brazilian coffee, which accounts for about one-third of the domestic coffee supply. According to the Bureau of Labor Statistics, coffee prices climbed 21% overall in August in comparison to the same month in 2024.